In line with a recent news report by ‘Bloomberg‘, controversial Canadian cryptocurrency exchange named ‘QuadrigaCX’ has become the topic of a bidding war as lawyers meet to win creditor representation.
The hearing at the Nova Scotia Supreme Court, today on 14th Feb., will decide which law corportions can lobby for compensation on behalf’s of consumers of the QuadrigaCX ‘exchange‘ that presentlt owes them around $260 Mln CAD [$196 Mln].
Total of around $190 Mln CAD results from cryptocurrencies and other deposits that the exchange reportedly lost after the death of its founder and chief operating officer named ‘Gerald Cotten’, in Dec. The following legal action has added another $70 Mln CAD.
In total, the legal action involves around 115,000 QuadrigaCX users, Bloomberg added.
As reported earlier, several ‘rumors‘ still continue swirl over the circumstances behing Quadrigs’s death.
Having antecedently claimed that the consumer funds were in ‘cold wallets‘ — for which Cotten failed to leave behind access info — the QuadrigaCX exchange’s statements have since been referred into a question after the funds appeared to leave the assumed wallets after his death.
An another report suggested that the funds weren’t in wallets at all, but however were in fact missing altogether.
Just yesterday, a separate debacle bust out once it ‘emerged‘ executives sent $500,000 USD valued Bitcoin [BTC] to inaccessible wallets by mistake. The blunder came via a report from Ernst & Young, that is answerable of restructuring QuadrigaCX as a part of the legal proceedings.